profit but, today, its shared doubles and it is worth $1 billion. zillow. is that a bubble, stuart? >>stuart: several trains are leaving the station but with 13 days to d-day, is there only one train set to make it on time? welcome, everyone, i am stuart varney in "your world." and neil cavuto will, back tomorrow. and the president is expected to meet with house of representatives g.o.p. leaders and declaring their train dead on arrival writing off, cut, cap and balance despite the win last night. and the other "gang of six" train will not make the august 2nd deadline so it is full steam ahead for the mcconnell reid

land. that is not making the cut with illinois republican congressman joe walsh who is circulating a letter today urging house leaders to reject bringing the mcconnell propose you will for a vote. congressman, so, no way, no how, mcconnell is your position, sir? >>guest: absolutely. this is not a plan, it says, okay, mr. president, go ahead and raise your debt ceiling and we disapprove of it. i understand how frustrated he is. we all are. because we are dealing with the president who doesn't get it but it is incumbent upon us to lead and that is what we did, stuart, last night, when we passed the only plan right now that will allow the debt ceiling to be raised and structurally reform the way this town spends money. >>stuart: if you kill the mcconnell idea stone dead, don't

allow it for a vote you will be called an extremist, that you are totally unwilling to compromise, you are out there on the fringe. that is what they will say and you will respond, how? >>guest: right now in a day we have gotten 80 to 90 republicans who signed this letter to our leadership saying, don't bring it up. look, the american people sent us here, you know this, to change the way this town does business and the president has been trying to steer us into an august 2nd deadline. too many people in your profession have been trying to steer us into this august 2nd deadline. we put forward a plan last night and the senate, god love them, will take this up and history is moving right now and i don't think harry reid or rebound can -- or president obama can stop it. >>stuart: maybe it is people like me doing the damage but i will do more, let me give you a timeline and the scare at the

end of the timeline because this is what people are saying. if we miss that august 2nd deadline, whether a fake deadline or not, at some point in the month of august, one government check will not go out. don't know which one but somebody does not get a check. at that moment we are downgrading. america losses financial reputation. and that will happen and you say to what? >>guest: it will happen. we don't know what and when it will happen. what we know is, our credit will be downgraded if we do two things: if we default and we dent know when that will be, we will also be downgraded if we raised the debt ceiling and don't make structural spending reforms. and, again, our cut, cap and balance plan that we passed last night, is the only one that meets that criteria, so, look, not august 2 end, we have to make sure if it is another week, two weeks, three weeks, we do

this right. >>stuart: the president, 57 minutes from now, meets with speaker boehner and eric cantor, are you worried they will do a deal you cannot get behind. >>guest: i am always worried about that because the membership want us to be bold but i feel confident they understand this. they got behind this cut, cap and balance plan last night. we have 80-some signatures of republicans on my letter who said respectfully, leadership, don't bring the mcconnell el plan up in the house it is not a plan. >>stuart: congressman, republican from illinois, we appreciate you joining. gang of six, or is it gangrene? now the hikes. there is a list of hikes and we have our guest from the heritage

foundation. i will run through a list of the tax hikes included in the gang of six plan and then we will comment. here is the list. cuts to the mortgage interest deduction, the higher cost health plans would have some of their deduction taken away. charities, retirement savings, tax credits for families with children. that is a list of five major items which the deduction, the tax deduction for richer people would be taken away. and now, one at a time. the mortgage interest deduction, take it away for rich people is in the gang of six plan. >>guest: well, we should be clear, we don't know what it will be because these instructions to the senate finance committee to come up with a tax plan. first and for most this is a tax increase of $3 trillion over 10 years. the biggest tax hikes is assumed that the elimination of the bush

tax cuts for all families. >>stuart: wait a second. do you not know for a fact that the deduction for mortgage interest, the north interest deduction, will that be taken away for rich people in the gang of six plan. >>guest: it is pure speculation. >>stuart: and the higher cost health plans do you know for a fact? >>guest: don't necessity for fact. it is in the plan as an outline and that would likely be the case. >>stuart: so is that taken from the simpson bowles plan? >>guest: this is a guide line for the senate finance committee to follow. there is no real plan. the only thing that is for certain it is a massive tax

hike. it would likely be limiting the types of exemptions and credits and deductions for healthy people but it could be eliminating them for middle income families. don't know. >>stuart: understood and that would add up to a very significant tax revenue increase coming into the treasury, but, would it not be matched to some degree in the gang six plan by cuts in federal income tax rates reducing the top rate down to 29 percent for example? that would be a match, would it not, for the tax increases on the other side? >>guest: well it would be a good step but not a match. proper tax reform broadens the tax base and lowering the tax rates by the amount that birthdayen i -- that the broadening would raise. but the gang of six plan for individuals and corporations ends up with $3 trillion tax

hike. >>stuart: sow are flatout opposed to raising more increased tax revenue? that's it? >>guest: absolutely. more tax revenue in washington means a bigger federal government. we did not need to raise taxes. washington has a spending problem, not a taxing problem so i am against tax increases. proper tax reform is not a tax increase. we would broaden the base and lower rates enough so the new tax plan would raise the same amount of revenue as the country plan. the best to be said is it moves in the right direction and shows what it should look like but they need to lower rates more so it is not a tax rate on the american people. >>stuart: thank you for joining us. if you want do see the rust draft of the gang of six plan, log on to foxnews.com/yourworld and take the poll. vote. cut, cap and balance, a big victory for house republicans

last night, but, you would not know it today watching the white house press briefing. we counted just two questions about the g.o.p. plan, one to ask if it was a waste of time versus 14 for the "gang of six" plan which the president favors. tim graham not surprised a media research center worker. you thing the media is pushing the president toward the democrat plan, right? >>guest: they are failing to explain what the republican plan is. that you could go back through the transcripts and try to find the network using the word "cut, cap and balance." this is something that the house republicans have been formulating almost virtual media silence. they do not feel it is necessary to describe what it is but to just begin by announcing when it actually passes they say it is a

failure and a waste of time. it is quite extraordinarily. >>stuart: some of the language they are using it calling it the ill fated cut, cap and balance, and those words tend to be attached to cut, cap and balance. ill fated was in "the hill," and there are other examples. just the use of language which skews the establishment media against the g.o.p. position. is it successful? >>guest: well, that is what they are trying to do. even conservatives are mad that the fox news channel is using words like "symbolic," to describe the vote. the gang of six plan is symbolic at this point. so, it is funny in a sense the liberal media has this temperature plate and that is, obama is in charge and the democrats in charge of the senate and they should be in

charge of all of washington, deliver, everything the house republicans do is a waste of time because they are going to have to give in and surrender. that's the kind of news coverage they are giving us, so if something don't pass before the deadline, everything is set up to say blame the republicans, republicans are the intransigent ones. that's the way they are painting the picture, now. >>stuart: tim, it seems to be having an effect and later not program we have polls the way independents feel about the republicans and democrats on the debt issue. tim graham, media research center. thank you for joining us. >> the white house no longer planning on hanging election hopes on the economy. really? is worrisome sign for jobs. stay tuned. save a bundle with geico's multi-policy discount.

geico, saving people money on more than just car insurance. ♪ geico, saving people money on more than just car insurance.

we're putting them to the test against the speed of a rescue unit. go !

they're downloading a music album. the first network to finish gets rescued. does your phone know that we're racing ? done ! verizon's done ! i've got seven left ! the fastest networin america. verizon. built so you can rule the air. now powering the lg revolution.

>>stuart: can the president run a re-election campaign without a strengthening economy. officials are looking for lessons from re-election bids that evercame a first term rise in unemployment like those of george w. bush. former deputy assistant to president obama thinks it would be difficult to pull off. scott, do you think the administration is throwing in the towel here admitting that this economy is not going to look that good by the end of next year so run on something else? >>guest: well it seems their messages have not been working. for perspective, when i send as press secretary for president bush's re-election campaign in 2004 he inherited a recession, we had the dot.com bust and

horrible atabs of lend but put in place broad tax reform and the average unemployment rate in president bush's term was 5.5 percent. president obama's first term the average unemployment rate is 9.4 percent. >>stuart: he cannot run on his economic record. >>guest: no. and the messages they have employed have been like nails on a chalk board saying that the increase in unemployment was a bump in the road. his chief political advisor said people don't vote on jobs. and he had other messages where he joked about shovel ready jobs not being shovel ready enough for the massive stimulus. and the only message they seem to have put out this recently about creating jobs is road building. >>stuart: what are they going to do? >>guest: with all due respect to the talking heads he put us

on a road to nowhere so their strategy to try to change the subject could be the only strategy they have. >>stuart: what will he run on? a lot of ... maybe a class warfare situation? look at the bad guys, the rich guys, the fat guys. they did this, run against them. >>guest: that is right, when we talked last year on your fox business program, about efforts to increase taxes on high earners, that is that class warfare message, the only message that the obama team has and, in fact, they will use that billion in campaign funds that they are trying to use to simply tear down the republican nominee. without that, they have nothing. >>stuart: just supposing you got a favorable trend in the unemployment rate, supposing it was coming down, maybe quite significantly by november of next year and maybe the economy

is expanding at a better than 2 percent or 2.5 percent, the president obama could point to the trend and say look, i difficulty, it came late, i did it and we are on the sunny side of the hill ahead. >>guest: he could attempt that but most economists have been saying the unemployment rate will not drop much below that 9 percent and maybe 8 percent or 8.5 percent and, remember, he said and his team said repeatedly if we pass the stimulus plan the unemployment rate will not go above 8 percent and during his entire term in office it has never been below that. so, he has a horrible record to run on and this is a 50/50 divided country and he will have a tough case to make to the american people to be re-elected. >>stuart: big supporters of president obama say it will be 8.7 percent by the end of next year. that's a tough road ahead if you are the president. thank you for joining us, sir.

rick perry is not a candidate yet but his supporters are opening up in iowa anyway. do they know something we don't know? we will ask.

[ male announcer ] if you're looking for a pickup truck, check out the miles per gallon. the length of the power train warranty. and the horsepower. only ram delivers this kind of muscle. that'll thin out the herd real quick. guts. glory. ram.

i know you're worried about making your savis last and having enough income when you retire. that's why i'm here -- to help come up with a plan and get you on the right path. i have more than a thousand fidelity experts working with me so that i can work one-on-one with you. it's your green line. but i'll be there every step of the way. call or come in and talk with us today.

>> the debt ceiling was not just ronald reagan's problem when he raised it 18 times. ronald reagan raised the debt ceiling 18 times. >> when ronald reagan was president he made tough

decisions. he cut taxes. but as senator simpson pointed out he raised revenue 11 times in an effort to get the budget deficit deal and raised the debt ceiling 17 times. >> democrats, democrats, democrats page ronald reagan in debt limit talks. and now the house democratic caucus using the gipper as their so-called "secret weapon." listen to this. >> congress consistently brings the government to the edge of default before facing its responsibility. this threatens the government bonds and those who rely on social security and veteran benefits. interest rate -- interest rates would skyrocket and the federal deficit would soar. >> my next guest knows a thing or two about president reagan raising the debt ceiling, art laffer is a former reagan economic adviser. good to see you. >>guest: amazing, isn't it?

>>stuart: what would ronald reagan do if he were president today, if this current situation, what would he do? >>guest: goodness know, i hope he wouldn't be in this situation because, frankly, while the democrats may use ronald reagan i assure you they are no ronald reagan. this spending is out-of-control. and it is a spending problem. and every democrat knows that. they know the republicans are right. now, that having been said this is not the way to fight the budget battle. this is really not the way to do it. it reminds me of when i was a kid i lived in cleveland and we had a baseball team called the i danes and -- indians and each year they played on the lake with free beer and in order to keep people from drinking too much they locked the bathroom door. trying to control spending by the debt ceiling is a silly, silly wait a minute our

battleground is november 2012. >>stuart: would he raise the debt ceiling now? he would not want america to go into default, he would not want a single government check not to go out and would not want to see us downgraded but he would raise the debt ceiling? >>guest: i think he would raise the debt ceiling for sure. and what he would do is take the people on, the people who are misguided and incorrect and take them on in november. that's the right tomorrow. if you look at it obama has home field advantage. the republicans only control the house, they do not control the senate or the presidency and it is to their detriment in this. this is not the place to fight the battle. let me just say again the republicans are all right on this issue. on the substance they are correct. it is just the wrong battlefield. the right battlefield is november. >>stuart: are you saying

president reagan would go for, vote for, cut, cap and balance? ings i think ronald reagan would in this circumstance vote for it ten times over if he could. the cut, cap and balance is exactly what is needed today. that is what is needed. this spending is out-of-control. taxes are not our problem. our problem is government spending and how it is hurting the economy. as freidman said time and time again, spending is the ultimate wax. when you raise government spending the way these gives have, you hurt the economy and he is correct. that is why we have the worst recovery since the great depression. the spending programs have not--. >>stuart: without, art laffer, do almost anything right now to avoid default or downgrade? i don't mean unlimited spending but would you come to a compromise late in the day as we are, anything to avoid that

default or downgrade? >>guest: not anything but we should do a compromise. let me say if we do hit that august 2nd dead loin there is no catastrophe. i don't think all the horrible things about the world's greatest catastrophe is true. we have plenty of time to solve the spending deficit problem. we do. our debt is about 70 percent of g.d.p., way too high but we have had it higher before and control under control. if we don't take the white house and the senate in november 2012 it will be a lot longer before the problems are brought under control. that is the end game, the key thing, november of 2012 and we cannot afford to take our eye off the ball. period. >>stuart: always a pleasure, art, thank you for joining us. blue dog democrat congressman voted against cut, cap and balance in the house of representatives but will he support the gang of since plan?

congressman meeting with democrat senator mark warner a member of the gang of six. welcome, congressman. would you ... the gang of 6 plan, with you vote for it? would you go for it? now you know more about it. yes-or-no. >>guest: as i know of it i'm happy that the plan exists. they are moving in the right direction. we need to see the finished product. a lot of things are in there that are parameters and not specifics but they are headed in the right direction. >> you doesn't think that cut, cap and balance was headed in the right direction so you did not think that is the way to go? >>guest: i thought the cuts to border security and good inspections and infrastructure to scientific and medical research, those are investments we need to continue to make in our future and the difference of opinion. and they had a right to bring

the bill up and i had a difference of opinion. >>stuart: you are a blue dog democrat and five other blue dog democrats voted for cut, cap and balance. do you think maybe your objections were to the limited areas were picky given the great scheme of things? >>guest: well, in normal times maybe the circumstances would have been different but right now, we are facing a deadline. this bill had no chance to pass in the senate. the house leadership had a right to bring it up. i cast my vote. but the more important work is the work on the gang of six and to work on the august 2nd deadline. that is what is important. >>stuart: and presidential spokesman carney saying the president is leading by not having a plan. listen to this? >> leadership is not imposing a plan for the sake of having it voted up or down and likely

voted down. >>stuart: sir you are a democrat and so is the president and i understood that leadership was out front. you get out there, you lead and other people follow your plan but there is no plan. how can the president lead with no plan? >>guest: well, the plan has to originate in the congress. according to the constitution specifically it has to originate in the house of representatives. until the gang of six convinces the house leadership that is the type of program that needs to move forward and i do think we are headed in that direction, that is where the plan has to start. that is in the constitution. >>stuart: at this moment of crisis you do not think the president has a responsibility to get out front and push and propose this? >>guest: it would be unfirst to say the president hasn't been out front. how many press conferences has he had? >>stuart: i don't know what the plan is. i don't know what the president's plan is. period. i don't.

>>guest: and we were not in the meeting at the white house and my understanding is they discussed a plan. >>stuart: you are for the gang of six plan? >>guest: i like the direction it is heading. we have to gill in the blanks because specifics need to be worked out but if you raise the debt ceiling can $3.7 trillion over the next 10 years that is a good offset. >>stuart: you met with your other colleagues is your impression that had now momentum behind gang of six plan? >>guest: there is incredible momentum and the timeframe if it was bigger we could pull it off but the issue is, we have less than two weeks, now, before we would default is whether we could finish the plan in time, whether this is going to need a short-term extension, i don't but we are headed in a very positive direction. >>shepard: congressman, thank you for joining us. he is not running yet.

but one group sure acting lick he is. the new push in iowa to make this give the president.

[ male announcer ] you never know when, but thieves can steal your identity, turning your life upside down in a matter of seconds. hi. hi, you know, i can save you 15% today if you open up a charge card account with us. you just read my mind. [ male announcer ] just one little piece of information, and they can open bogus accounts, stealing your credit, your money, and ruining your reputation. that's why you need lifelock. lifelock is the leader in identity theft protection.

relentlessly protecting your personal information to help stop the crooks in their tracks before your identity is attacked. protecting your social security number, your bank accounts, even the equity in your home. i didn't know how serious identity theft was until i lost my credit and eventually i lost my home. [ male announcer ] credit monitoring alone is not enough to protect your identity and only tells you after the fact, sometimes as much as 60 days later. with lifelock, as soon as we spot a threat to your identity within our network, our advanced lifelock id alert system directly notifies you, protecting your identity before you become a victim. identity theft was a huge, huge problem for me, and it's gone away because of lifelock. [ male announcer ] while no one can stop all identity theft, if the criminals do manage to steal your information, lifelock is there to help fix it with our $1 million service guarantee. that's right. a $1 million service guarantee. don't wait until you become the next victim.

call now to try lifelock free for 60 days. that's right -- 60 days free! use promo code safe60. if you're not completely satisfied, notify lifelock and you'll never pay a cent. order now and also get this document shredder to keep your personal documents out of the wrong hands... a $29 value, free. get the protection you need right now! ♪ ♪ ♪ >>stuart: a group is pushing to get his name out there, americans for rick perry announcing iowa headquarters ahead of the straw poll in ames. but look at this new poll, the so far undeclared perry comes in third. behind romney and bachmann. my next guest publicking to make

him number one. the chairman of americans for rick perry. bob, if he does not run, it will be the biggest let down in years. >>guest: it will be a big one. but we will keep moving with our message. >>stuart: as i understand, he won an iowa county straw poll. although he is not declared candidate? >>guest: true on monday my in clay county, which is small but it is on the minnesota border, the home state of pawlenty and bachmann so we were happy with that. >>stuart: the left does not like texas very much. so i put it to you: could a candidate perry, if he runs, could he win california or new york? >>guest: i'm not sure any republican can win california or new york. it has been a long time. >>stuart: that is an honest answer. i was expecting to go all the way around it. it is true, is it not, a guy

from texas, the governor of texas is not likely to win california or encourage, honest answer. anything to add? >>guest: no. that says it all. maybe if christie is on the ticket we take new jersey. >>stuart: i live in new jersey i understand this. the left will go after him because governor perry is a practicing christian, evangelical and that makes him a target. >>guest: well, it does with certain segment of society, but there is a much larger segment of society that appreciates the social conservative side of rick perry and at the end of the day it is a mass you have plus, not a negative. >>stuart: you have met him personally? >>guest: never. >>stuart: why so strongly, you are a vigorous supporter. >>guest: i looked at the field as it is and we have a strong field and most of those in that field could beat obama in november of 2012 but i expected

daniels and huckabee to get in and when they did not get in i started thinking, there is a hole because those guys appeal to social conservatives and they appeal to fiscal conservatives and i thought perry does all of that and he appeals to the second amendment advocates and to business plane and entrepreneurs and blue-collar workers and hispanics and tea party members and independents on and on, and he had the broadest reach of the potential candidates and the best chance of winning in november of 2012 is governor perry. >> president obama is looking to get $1 billion in his war chest for the campaign. could governor perry come close to that? >>guest: i don't know, we are not on that side of the campaign but there is a lot of money out there and i don't think any republican can match what obama has been able to do but obama has to explain away his administration and that will take $1 billion. >>stuart: in the event that governor perry does not run and he does not declare that he is

running, who would you support? >>guest: that is a tough question. when you are heart and soul interest something and it goes away it takes you time to sit back and look. i would have to wait and see if anyone gets in. >>stuart: i suggest governor christie of new jersey could be drafted. >>guest: i don't know if i fail at this i will not do another. >>stuart: thank you for joining us. an honest answer, that was trick. [ male announcer ] this...is the network --

a network of possibilities. in here, the planned combination of at&t and t-mobile would deliver our next generation mobile broadband experience to 55 million more amecans, many in small towns and rural communities, giving them a new choice. we'll deliver better service, with thousands of new cell sites... f greater access to all the things you want, whenever you want them.

it's the at&t network... and what's possible in here is almost impossible to say. it's the at&t network... diabetes testing? it's all the same. nothing changes. then try this. freestyle lite® blood glucose test strip. sure, but it's not gonna-- [beep] wow. yep, that's the patented freestyle zipwik™ design. did it just-- [both] target the blood? yeah, drew it right in. the test starts fast. you need just a third the blood of one touch.® that is different. so freestyle lite test strips make testing... easy? easy. great. call or click-- we'll send you strips and a meter, free. free is good. freestyle lite test strips. call or click today. took some crazy risks as a kid. but i was still over the edge with my cholesterol. anyone with high cholesterol may be at increased risk of heart attack. diet and exercise weren't enough for me. i stopped kidding myself. i've been eating healthier, exercising more, and now i'm also taking lipitor. if you've been kidding yourself about high cholesterol...stop. 80% of people who have had heart attacks have high cholesterol.

lipitor is a cholesterol lowering medication, fda approved to reduce the risk of heart attack and stroke in patients who have heart disease or risk factors for heart disease. [ female announcer ] lipitor is not for everyone, including people with liver problems and women who are nursing, pregnant or may become pregnant. you need simple blood tests to check for liver problems. tell your doctor if you are taking other medications or if you have any muscle pain or weakness. this may be a sign of a rare but serious side effect. great ride down. if you have high cholesterol, you may be at increased risk of heart attack and stroke. don't kid yourself. talk to your doctor about your risk and about lipitor. >>stuart: look at this, majority of independents, 61 percent say republicans should raise taxes in order to get a tax deal, 61 percent. and now, republican congressman from ohio, does that worry you? >>guest: well, if you look at

the poll and they ask american citizens, do you realize the tax increases come now and the spending cuts may materialize in the future but if you look at past congresses we never get to the spending cuts, you tell the truth, they would say no, no, no, we do not want that deal. that is the deal washington always plays on us and that will not work. >>stuart: a similar wording to a question in the same poll said, look, would you, it asked independents, do you want republican leaders to compromise to get a debt deal? do you want them to compromise, and 68 percent said "yes." get out there and compromise. >>guest: we did that last night. 234 members of the house of representatives, five democrats, and it was a compromise, it was a plan, it said we are willing to raise the debt ceiling if we do the things to cut spending, and cap it as a percentage of

our economy and get a balanced budget amendment to the constitution, which everyone knows is the only thing that will ultimately fix the problem and secure the future for our kids. that is the compromise. but that is the plan that works. that is what we should stand strong for. >>stuart: senators durbin and harry reid return from the white house and said president obama made clear no short-term extensions. that employs there might be a boehner plan coming forward. what do you make of this? >>guest: that was last night. let's go with the gang of 234. gang of 234. we put a plan on the table that fixes the problem. >>stuart: that is true, sir, but nobody i know says this cut, cap and balance program can get through the senate. i don't anybody that says it can get through. bear that in mind is it not

possible that speaker boehner will come through with another plan? >>guest: i fail to accept that. if we all listen to conventional wisdom we would never accomplish anything. if the founders listened to conventional wisdom there is no united states of america. so this idea this can the not get through the congress, let harry reid bring it up for a vote and have a real debate. frankly, have the president of the united states put his plan on the table. i would love his land and our plan and have a two week debate and then see who wednesday. >>stuart: do not have two weeks to debate it if it comes up in the senate tomorrow or friday, and it is voted down, then would you accept a compromise of any kind which the american people seem to be wanting? >>guest: i'm not going to accept tax increases because that is not going to be conducive to economic growth. you understand that. i understand that. if you tell the american people truth that we have tax increases

they will hurt job creation, they will not want that. just tell the truth and focus on fixing the problem, not planned political gain, not a mcconnell plan or crazy gang of six plan, not a president's plan we never see but the plan that is out there that passed the house of representatives. >>stuart: i am telling you what the establishment media is saying, calling you isolated, calling you an extremist, a hold out, stubborn, standing in the way. >>guest: 234 including five democrats supported a plan last night in the house of representatives. this plan actually had debate. it went through the house of representatives like the constitution says, and it is over in the senate and no other plan has done that or been put on paper let alone be passed by one body. what is wrong with that kind of plan? harry reid has the guts to bring it up for a vote. >>stuart: that is where you stand? >>guest: where a lot of members, a lot of conservative

members in the house of representatives. >>stuart: michelle bachmann voted against it. >>guest: yes, but 229 republicans voted for it, i tell you that. >>stuart: we will leave it there. in compromise on your part, whatever, an impasse. congressman jordan, thank you for being with us. they put up the calorie count and now they are under fire for doing it.

.

>>stuart: not so sweet home fewer buying houses last month sinking preowned home sales down to 7 month low and the housing market is closer to the worse year in a generation. to one of the top real estate

breakers. do you think the government is in the way? >>guest: yes, we they money at everything, we try to interfere with the natural course of the market and all we wind up is losing money, increasing the deficit and not improving home sales. >>stuart: you could argue the government is spinning out the process which we start to find a bottom, and they have a wrongful floor? >>guest: they are trying to. it is not working. >>stuart: if they took it away the price would come down. >>guest: for a short-term and find its level and they go back up, unartificially so everyone would have confidence in what they were doing. right now everyone is saying why catch a falling rate, the reason we are losing 16 percent of all contracts that went out is because people are saying, what am i doing? why am i doing this? why not wait.

>>stuart: 16 percent, they lock in a deal, they say i will buy it, do the paperwork and they walking away, 16 percent walk away. >>guest: last month was 4 percent. it is like catching a falling knife. tight credit. maybe they didn't get a mortgage. the appraisals are a disaster. appraisers are not appraising at market levels but below market so anyone can get a loan so all around, nothing good coming from anything. >>stuart: if the government removed all support price would fall. >>guest: they would fall but find their natural bottom and when they went up, people would understand, this is real. >>stuart: worse in a generation? >>guest: worse in a decade, for sure. hurt stewart wish i could improve your business. first they were bashed for not showing calories and now a study

bashing restaurants for showing the calories. . can i have some ice cream, please ?

no, it's just for new people. hey ! chocolate, vanilla or strawberry ? chocolate ! chocolate it is ! yeah, but i'm new, too. umm... he's new... er... than you. even kids know it's wrong to treat new frien better than old friends. at ally bank, we treat all our customers fairly, with no teaser rates

and no minimum deposit to open. it's just the right thing to do.

restaurants just can't win. first, the got demanded they show calories on their menus. now they're under fire for those same calorie counts. a new studio revealing the advertised number is off by 225-calories on average. my next guest is disappointed by this. rebeta spritzfield is a health fitness specialist. welcome to the program. >> thank you for having me. >> i'll start running through the first egregious calories of undercounting. six-pack at shots at burger king, advertised calories 752. actually over 1 than 1,000. second example, on the border. supposed to be 1530, it's 451. and outback steakhouse, bleu

cheese salad, advertised 376. actual calories are 1,035. that is a severe undercount, i would say. >> oh, yes. basically, the restaurants aren't getting it right. we have too big of a cap. when you're off by 200-calories that could be equivalent of gaining 20 pounds a year. we can't be having that. >> it seems like they can't win, the restaurants. they didn't particularly want to count calories in the first place because it does put some customers off. now they are counting calories and you say they're counting them wrongly. they can't win, can they? what about people like me who don't care? we don't want you on our backs? what we want to do is go in and pick up my six pack of burger shot and enjoy them. >> leave you alone. >> leave me alone. >> i think you would like nothing more than being left alone but the truth is a lot of americans do care and we need the information and we need it to be accurate.

we can't be off by 100 or 200-calories. 1,000 calories is unacceptable. >> you do seem like a food police officers if i may say so. let me bring you an example of chipotle. a burrito bowl, not had one myself but called a burrito bowl. >> they're good. >> i believe you. 454-calories when in fact it's 567-703. i must read you the statement that we got from chipotle about this. we called the restaurant and got the answer from chipotle. they gave us a statement. "the nutrition information we provide is based on standard portion sizes but at chipotle, no two orders are exactly the same. we believe the custer miswant to customize their order for their own orders and their own taste and nutritional needs." what is wrong with that >> that is a great statement. consumers need to rely on the calories to guide their choices and then they have to make sure it doesn't give them a license to clean their plate.

they still have to make sure when they are feeling full to stop eating. i do think that that is what a lot of people get in trouble with. they see the number and they just clean their plate. but the restaurants do have responsibility to make sure that that data is act rate -- accurate. >> i just want to eat good food and enjoy it. lever my alone. >> it would be wrong to get color on the plate to help with the healthcare costs. >> eat vegetables, is that it? >> yes. >> i do. so now get off my back. rebecca, a pleasure. thank you for joining us. >> appreciate it. >> in one hour on the fox business network. presidential candidate ron paul tells us why no matter what the debt plan, no matter what passes we will still default. on my fox business network show tomorrow morning, congressman allen west chimes in on his battle of words with congresswoman debbie wasserman schultz. also, investigateive filmmaker jam